Farr, an unmarried taxpayer, had $70,000 of adjusted gross income and the following deductions for regular income tax purposes:
home mortgage interest on a loan to acquire a principal residence $ 11,000
miscellaneous itemized deductions above the threshold limitation 2,000
what are farr's total allowable itemized deductions for computing alternative minimum taxable income?
a. $13,000
b. $2,000
c. $11,000
d. $0

On july 2, year 4, wynn, inc., purchased as a short-term investment a $1 million face-value kean co. 8% bond for $910,000 plus accrued interest to yield 10%. the bonds mature on january 1, year 11, and pay interest annually on january 1. on december 31, year 4, the bonds had a fair value of $945,000. on february 13, year 5, wynn sold the bonds for $920,000. in its december 31, year 4, balance sheet, what amount should wynn report for the bond if it is classified as an available-for-sale security?